Company Profile
Fictional Technologies, Inc.
Deal Room Email:
fictional.technolgies@ventureidol.angelgroups.com
One Line Pitch: Fictional Technologies, Inc. has developed a one-of-akind technology to distribute public domain and other documents for sale
to individual customers in a quick and timely manner.
Business Summary: Fictional Technologies, Inc. (FTI) seeks to
commercialize a new type of customized publishing system, which uses
electronic methods to instantly distribute 'public domain' and other
'minimum royalty' documents on specialized topics. The material would
be drawn from U.S. government information depositories and would be
made available for retail sale to individual customers through local
franchisees of established, national 'quick-copy' printing centers.
Product Line: FTI's product line will include three models of printing
'systems'. At each individual franchisee, the available catalog of
publications would be accessed through a terminal that would be
attached to an automated dial-up and modem unit built into each FTI
system. The terminals would be placed on the counter for use by walk-in
customers, thereby reducing labor. The customers inserting his or her
credit card into the FTI machine would activate ordering. The three
different units will be sized for small (single-terminal), medium (up to
three terminals) and heavy volume (multiple terminals including remotesite access).
Management: FTI was formed in November 1991 as a Sub-Chapter S
Delaware corporation by Michael Brignola (9 years as Vice President of
Mars Publishing) and William Byrne (founder of Caldonia Ink-Jet Corp.).
The technology for the project is being developed under contract by Dr.
Franklin Tiberi, Professor of Electronic Optics at Lehigh University.
Customer Problem: There is a vast inventory of existing information on
specialized subjects that has been collected over the years through U.S.
government-sponsored research and other funded projects. Subjects
include technical information that is relevant for commercial and
industrial users as well as consumer-oriented and how-to-do-it
information. To date, government efforts to make this information
available for re-use have been predicated on large printing runs, 'publicservice' media advertising at off-hours and physical distribution from
centralized warehouses by mail. There have also been limited over-thecounter retail sales at Government Printing Offices in a handful of cities.
In 1990, Michael Brignola recognized that much of this information also
exists in electronic format. Using high-speed optical transmission and
advanced laser printers, Brignola believed he could create a privatesector distribution system that would increase the utilization of this
existing body of information at no net cost to taxpayers. Brignola
visualized a customized 'book' business that would represent net
additional revenue potential for the 30,000 franchised 'quick-print' shops
in the U.S. (45,000 are forecast to be in operation by 1995).
IP/Technology: FTI's opportunity depends on acquiring full text and
graphics via high-speed optical modem, printing out the document at
very high speeds, and binding the ‘book’ automatically. Conceptually, the
process is the equivalent of the self-contained film developing and
LOGO
Here
Company Profile:
URL: www.fictionaltechnolgies.org
Industry: Customized Publishing
Employees: 4
Date of Incorporation: 12/13/99
Contact:
Name/Address/Telephone
Irwin M. Fiction
IFiction@fti.org
O: 666-999-0055
Financial Information:
Funding Stage: Product
Development
Previous Capital: $175,000
Monthly Burn Rate: $25,000
Pre-Money Valuation: $6,000,000
Capital Seeking: $1,200,000
Investment Opportunity/
Deal Structure: FTI is willing to
provide a 20% equity stake in our
company and we are willing to
offer either convertible preferred
stock, or common stock for
investors particularly
knowledgeable in our industry.
Uses of Funds: Funds will be used
for product development, staff-up,
operations and market
introduction.
Management:
Irwin M. Fiction, CEO
Michael Brignola, CFO
William Bryne, VP
Dr. Franklin Tiberi, Chief Product
Engineer
Advisors:
Lawyer: Cybulski & Rowett, PC
Accountant: Karl Kramer, CPA
Investors:
Founders’ Investment - $175,000
Referred By:
Investor
Ben Franklin Technology Partners
Form from Angelsoft and Ben Franklin Technology Partners - CONFIDENTIAL
printing machines that have spawned the ‘automated’ photo stores now found in malls. FTI has developed a
device which, when coupled to a standard Canon laser printing engine, allows a modified Hewlett-Packard
Series 7 unit to print at roughly 100 times the standard rate. The device will be the subject of U.S. and
international patent filings.
Commercialization: FTI Intends to enter into a series of license agreements with national ‘quick copy’ chains
(such as Curtis 1000, PIP, etc.). Through these master licenses, local franchisees would be able to purchase or
lease complete FTI printing units. FTI would have these units manufactured on contract by Canon, HP,
and/or other outside vendors (except for the Proprietary IC, which FTI would manufacture in-house)
Target Market: Based on internally generated market analysis and published sources, FTI calculates that the
30,000 U.S. quick-copy shops sell $4.7 billion in products and services annually (1991). Specialty publications
that are most similar to the government source material targeted by FTI currently equal to 2.1 % of the
overall $32.3 billion book market (1991). In 1990 (the most recent year for which federal figures are
available), the Clearinghouse and the Consumer Information Center had combined retail sales of $157.5
million. At WaldenBooks, the books that are classified broadly in the 'technology' category represented
roughly 9% of the company's $432 million in sales (1991).
Customers: Fictional Technologies, Inc. immediate customers would be the hundreds of thousands
individuals searching for technology categorized books and texts along with related government source
based material, and specialized topics.
Sales/Marketing Strategy: FTI intends to reach the target market, both consumers and printing chains,
through establishing strong relationships with well known, national ‘quick copy’ chains such as Curtis 1000
and PIP. We also plan to advertise on radio, TV, web and the like to inform the target market that our product
exists and is readily available for use.
Business Model: Revenues will be based on the sales of these automated printed texts. Other revenue would
also come from the national ‘quick copy’ chains to have the FTI printing units available in their stores.
Competitors: FTI is positioning itself to create a new type of market or a net addition to existing markets and
not a displacement or direct threat to any of the established players. FTI is not aware of any other technology
that can provide the same type of enhanced output speed for the basic laser-printing engine on which FTI is
basing its system. From discussions with two national printing chains, FTI believes that no other group is
competing to implement the general concept of turning quick-copy centers into local retail sources for
printed reports on specialized subjects.
Competitive Advantage: FTI is creating a new type of market, and is unaware of any other direct threats that
offer the same type of service or product. FTI has developed a device that allows an HP Series 7 to print
approximately 100 times the standard rate to allow for the “automated” text printers.
Achievements to Date: FTI has a functional prototype of the high-speed printing and binding device that is
required to make the project feasible. In addition, FTI has met with the directors of both the Clearinghouse for
Federal Scientific Information and the federal Center for Consumer Information and has obtained written
expressions of their interest in the proposed program. FTI has submitted a Phase I SBIR application to the U.S.
Department of Commerce to demonstrate the feasibility of the proposed system.
Investor Exit Plan: Our business plan projects growth rates of more than 70% per year, requiring additional
funding rounds of $3 million and $7 million in the next five years. We anticipate a strategic merger or
complete buy-out at a valuation of $80 million five years from now.
Additional Information: Individuals related to the founders have invested $50 thousand to date. We have
raised no funding from investors not related to the founders.
Actual Results (If applic.)
Prev. FY
Curr. FY
Revenues
Expenses
$0
$0
Forecast Results
Yr. 3
Yr. 4
Yr. 1
Yr. 2
$350,000
$875,000
$2,300,000
$12,500,000
$27,000,000
$975,000
($625,000)
$1,250,000
($375,000)
$1,400,000
$900,000
$2,400,000
$10,100,000
$3,100,000
$23,900,000
Form from Angelsoft and Ben Franklin Technology Partners - CONFIDENTIAL
Yr. 5
Company Profiles
Company Name
Deal Room Email:
LOGO
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Company Profile:
URL:
Industry:
Employees:
Date of Incorporation:
One Line Pitch
Business Summary:
Contact:
Name
Address
Email
Phone/Fax/Cell
Financial Information:
Funding Stage:
Previous Capital:
Monthly Burn Rate:
Pre-Money Valuation:
Capital Seeking:
Product Line:
Investment Opportunity/
Deal Structure:
Management:
Uses of Funds:
Customer Problem:
Management:
Advisors:
IP/Technology:
Investors:
Referred By:
Commercialization:
Form from Angelsoft and Ben Franklin Technology Partners - CONFIDENTIAL
Target Market:
Customers:
Sales/Marketing Strategy:
Business Model:
Competitors:
Competitive Advantage:
Achievements to Date:
Investor Exit Plan:
Additional Information:
Form from Angelsoft and Ben Franklin Technology Partners - CONFIDENTIAL